CFPB Supporters Ask Federal Appellate Court to Rehear CFPB Decision
In an amicus brief sent Tuesday, a group of 21 current and former members of Congress argued that the federal appeals court's October ruling that the CFPB's structure violates the federal Constitution has 'fundamentally altered the [bureau].' They want all 17 of the U.S. Court of Appeals for the District of Columbia’s judges to rehear the case.
WASHINGTON, D.C. — In an amicus brief sent Tuesday, a group of current and former members of Congress that supported the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 urged the federal appellate court that deemed the Consumer FInancial Protection Bureau (CFPB)'s structure unconstitutional to rehear the case.
Arguing that the court’s October decision fundamentally altered the CFPB, the group wants all 17 of the U.S. Court of Appeals for the District of Columbia’s judges to be present, not just the three judges that ruled that the CFPB's single-director structure violates the federal Constitution.
The group consists of 21 current and former members of Congress, including Senators Elizabeth Warren (D-Mass, who is considered the architect of the CFPB, and Rep. Maxine Waters (D-Calif.). Every name listed in the brief were either sponsors of the Dodd-Frank Act, participated in drafting the law, serve or served on committees with jurisdiction over the federal financial regulatory agencies and the banking industry, or served in the leadership when Dodd-Frank was passed, the letter stated.
“The panel decision fundamentally altered the CFPB and hampered its ability to function as Congress intended,” the brief read. “It also called into question the constitutionality of other regulatory agencies with similar structural features. For those reasons alone, this case involved a question of ‘exceptional importance’ that merits reconsideration by the en banc court.”
The appelate court's October decision gave the president the power to remove the CFPB's director at will, as well as direct its activities. In its majority opinion, the court noted that CFPB Director Richard Cordray possessed “enormous power over American business, American consumers, and the overall U.S. economy.”
Granting the president the power to remove the director at will was the group’s biggest objection. In its letter, the group brought up the opposing side’s argument that by having removal restrictions, the president would be impeded in his ability to perform his constitutional duty. They argued, however, that the original provisions that allowed the director to be removable for cause, such as “’abusing [his] office[e],’ committing a ‘breach of faith,’ or ‘neglecting his duties or discharging them improperly,’” were enough to keep the director accountable, and gave the president enough power to remove the director if needed.
“The panel’s conclusion that the CFPB’s structure is unconstitutional flatly contradicts all of these decisions, and it does so principally because it views multi-member commissions as superior to agencies led by a single director,” the brief stated, in part. “The panel improperly elevated that policy judgment — one properly made by Congress — into a holding of constitutional law. That was plainly wrong, and consideration by the en banc court is thus warranted.”
More Auto Finance

Mastering Credit Friction
In this video, Josh Krach explains how to turn credit friction into an advantage.
Read More →
April Less Affordable
Based on prices, reduced incentives and slower household income growth, consumers found it more challenging to buy new last month, Cox Automotive reported.
Read More →
Auto Lenders, Consumers on a Tightrope
April borrowing data shows that more consumers are bending over backward to buy vehicles, though subprime lending cooled off for the month.
Read More →
Toyota Financial Services President Replaced
Scott Cooke has served in various roles with Toyota Financial Services for over 20 years, including president and CEO, which he retires from on June 30.
Read More →
Permission or Approval: When to Notify Finance Sources
Credit card down payments, multiple vehicle purchases and even straw purchases can be completed without committing bank fraud, as long as you tell the bank first.
Read More →
At-Risk Auto Borrowers Drive Looser Credit Access
Cox Automotive’s index shows the subprime segment, long loan terms, negative-equity borrowers and down payment amounts all grew in February despite ever-higher vehicle prices.
Read More →
Auto Loan Forecast Bucks Market Trend
Auto loan originations rose over 6% year-over-year in the third quarter of 2025, but TransUnion predicts a slight decline in auto loan growth this year, making it an outlier in the company's overall lending forecast.
Read More →
Auto Credit More Plentiful
Growing access shows greater lender appetite for risk as consumers take on heavier debt burden in an inflated market.
Read More →
Auto Loans Long as Stretch Limos
More consumers, faced with ever-rising car prices, are adapting by agreeing to longer loan terms despite the cost of added interest payments.
Read More →
AutoPayPlus Launches RePayPlus
The reinsured biweekly payment program offers auto dealers with customer retention and reinsurance structure.
Read More →